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Imagine the Internet without Amazon Web Services. That would require taking out all of Amazon’s impact on cloud technology and data center colocation.

Amazon began its web services campaign in 2006, and so far, it’s racked up over 100 data centers in more than 20 countries worldwide. It’s currently the principal cloud service provider for top companies such as Netflix, LinkedIn, ESPN, BBC, and Facebook.

Without AWS, most of that workload would fall on other cloud service providers like Microsoft, Oracle, Google, etc. Interestingly, Amazon relied heavily on Oracle’s data center solutions for years and only recently moved on.

Amazon Web Services helped convince web users to adopt cloud technology. It brought about highly functional cloud computing products like the Elastic Compute Cloud, allowing users to create and customize virtual machines that significantly improve managerial and execution processes.

Considering how great AWS is, it is nearly impossible to think it could have any problems worth worrying over.

Unfortunately, it does have a few chinks in its armor. There are specific concerns regarding Amazon’s data center solutions and colocation services you should examine.

Here is a list of the most dominant AWS issues.

1. High power outage propensity

In a blog post published by the Washington Post on December 22, 2021, Amazon was named the Internet’s Backbone. However, the report wasn’t an ode to the tech giant. Instead, it was an extensive report on the three power outages the company experienced that month.

The third outage, as reported, occurred in Northern Virginia and lasted a little over 2 hours. Tech companies that relied on Amazon cloud solutions, including Epic Games and Slack, recorded considerable disruptions in their server activities which, of course, resulted in some downtime.

Two weeks before that outage, some Amazon products, like the Roomba Vacuum and Ring doorbell, reportedly went offline due to “network issues.”

However, before these, a string of similar outages and glitches took down several digital services like Netflix and Disney plus. Toyota also recorded some downtime, and even Amazon halted its retail services.

Well, 2021 outages weren’t the first. A massive Amazon outage occurred in 2017, mainly disrupting AWS S3 operations.

Amazon’s power outage issues aren’t entirely unprecedented, considering the computing power it takes to run such a large company. Still, consecutive power outages within weeks could have ruined dependent small enterprises.

2. High cloud service cost

AWS is a costly undertaking. Amazon Web Services is worth billions of dollars for a reason, mainly the high scalability it offers its top users, who are prominently tech giants. In other words, AWS serves large companies better.

The above assessment might seem absurd if we consider the one-year free cloud computing services Amazon offers its new users, primarily startups.

But how free is free?

Most cloud service providers offer free services because they trust their solutions to retain trial users after the free period expires. Amazon does that too, but beyond its free offerings is a pay-as-you-go policy that racks bills on your invoice when you become a retainer.

AWS’s pay-as-you-go policy means you’ll only pay for the services and products you use without initiating a long-term contract with the company. On the surface level, that might seem fabulous, especially if you don’t use some of the solutions Amazon offers. However, the billing system complicates accounting calculations, often leading to unexpected charges

There’s also the issue of tax payments on data transfer fees to multiple regions. So if your company thrives on multi-regional exchanges, you will get a heavy invoice at the end of the month.

And if you’re wondering why companies keep using AWS despite the high cost, here’s why.

First, AWS’s scalability capabilities are efficiently expansive, which makes it the perfect platform for companies with extensive growth propensity. It integrates seamlessly with almost every existing content management system available online.

Also, cloud migration can be complex, particularly for high-data-intensive companies like Netflix. There are no clear stats on how much storage Netflix uses, but the most circulated estimate is 36×100 TB data storage capacity. Moving that data from one provider to another is costly and could result in file loss and alterations.

An excellent example of how difficult it is to move heavy data from one provider to another is Amazon’s independence from Oracle. It took Amazon over five years to move off of Oracle’s database, and the move was a little easier because Amazon moved on to its database.

Regarding how large companies sustain AWS pricing, there is a great chance these companies operate on bargained discounts better than what a new provider could offer.

Another critical issue is how sustainable AWS pricing is for startups.

Think about this. Cloud hosting and data center colocation services are branded practical for startup companies. They help startups exercise flexibility and scalability while maintaining healthy earnings.

With AWS, you can’t help but garner extra bills when experimenting with new products and multiple target audiences. If the bills get heavy every time you push your limits, it could stunt your company’s growth.

So why take on such a risk when you can have a non-contractual colocation plan for as low as $295 per month and zero hidden charges? A plan like that gives you unrestricted control over your server resources so you can experiment and grow at your own pace.

3. High usage density

In 2021, Q4 stats showed that AWS accounts for 33% of the cloud market, giving it a 2% edge over Microsoft Azure and Google Cloud combined. In simpler terms, AWS is responsible for one-third of the Internet’s storage.

Could having many users be considered a problem?

That’s not necessarily true, but looking back on AWS’s issues, it’s reasonable to think that relying on the world’s most patronized cloud service provider might not be exceptionally safe.

Computer Scientist and Professor Steven Bellovin asserted that because the Internet depends too much on AWS infrastructure, a possible collapse, as seen in 2021, could be much more disastrous than it should be.

More disturbing is how an AWS outage from a hack or work overload would affect new users and businesses.

The previous outages exposed the gaps in the AWS structure. Of course, Amazon might have made significant fixes since the last outage, but with their ever-growing workload, there’s no guarantee another outage isn’t forthcoming.


Without innovations like cloud hosting and data center colocation, the Internet as we know it would have been science fiction. Cloud technology, aided by colocation, changed the World Wide Web for the better, and AWS will always be a part of that progress. However, that fact only makes it suitable for some.

Startups are more vulnerable when glitches happen. While another AWS outage or glitch might be far off in the future, securing your IT setup with a colocation host who can guarantee optimal security and operational scalability is only reasonable.

With Coloco hosting services, you won’t have to worry about anything. As long as you have your equipment, we’ll take care of everything else.

Coloco thrives on creating flexible data center solutions for startups and grounded companies. And if you want a unique setup, we also have the perfect colocation plan.

Click on the link for inquiries.